The number of China's CN domain names fell from around 13.7 million to more than 6 million, a 50 percent decline, one year after China's Ministry of Industry and Information Technology conducted a complete inventory of registered CN domain names.

      Zhang said the main reasons of the decline in the number of CN domain names are rigid regulation and the cancellation of the program that provided CN domain name registration for the cost of 1 yuan.

      The move has greatly influenced companies' revenue, but on the other hand, it effectively gets rid off the ineffective domain names, said Zhang. Many people made money by speculative domain name registration, while now most of the rest are effective.

      At present, the accuracy rate of domain name registration stands at more than 90 percent. Although the number of users has significantly declined, the market share has increased, according to Zhang.

      In order to promote the use of CN domain names, China Internet Network Information Center (CNNIC) launched an activity that allowed domain registration of a CN domain for just 1 yuan in 2007. The number of CN domain names exceeded COM domain names in 2007 and topped 10 million in February of 2008.

      The statistics released by the CNNIC on Dec. 28, 2009 showed that the number of CN domain names reached 13.7 million.

By Liang Jun from People's Daily Online

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